Umios Corporation · TSE:1333

Umios — Maruha Nichiro — Q2 FY2024 Earnings Presentation

38 slides from Umios's earnings presentation, Nov 24, 2023

  1. Slide 1: Consolidated Financial Results for the 2nd Quarter of the Fiscal Year Ending March 2024

    Consolidated Financial Results for the 2nd Quarter of the Fiscal Year Ending March 2024 (April 2023-September 2023) November 24, 2023 Maruha Nichiro Corporation （TSE：1333） Masaru Ikemi, Representative Director, President & CEO Copyright ©2023 Maruha Nichiro Corporation

  2. Slide 2: Table of Contents

    Table of Contents ■ Business Overview for the 2Q of the FY Ending March 2024 P.3 ~ 11 ■ Full Year Forecast and Future Measures P.12 ~ 22 ■ Efforts for Enhancing Corporate Value P.23 ~ 29 ■ Appendix P.30 ~ 36 Copyright ©2023 Maruha Nichiro Corporation 2

  3. Slide 3: Business Overview for the 2nd Quarter of the FY Ending March 2024

    Business Overview for the 2nd Quarter of the FY Ending March 2024 Copyright ©2023 Maruha Nichiro Corporation

  4. Slide 4: 2nd Quarter Financial Highlights

    Business Overview for the 2Q of the FY Ending March 2024 2nd Quarter Financial Highlights Net sales continued to hit new highs from the previous year, as the decline in fish prices was not as pronounced as assumed and due to the price revisions for processed foods which were implemented in the previ

  5. Slide 5: Key Points of 2nd Quarter Financial Results

    Business Overview for the 2Q of the FY Ending March 2024 Key Points of 2nd Quarter Financial Results Decrease in operating income YoY in the Marine Products Business Segment. ➢ Sluggish market prices and sales delays for Alaska pollock business (North America) of the Overseas Business Unit. Decline

  6. Slide 6: Factors of Increase/Decrease in Operating Income

    Business Overview for the 2Q of the FY Ending March 2024 Factors of Increase/Decrease in Operating Income Increase Decrease Total Decrease in Cost Adjusted Sluggish Price Cost Steady sales Price Demand for catch increase inventory to market for revisions increase to food revisions storage volume due

  7. Slide 7: Marine Products Business Segment (1/2)

    Business Overview for the 2Q of the FY Ending March 2024 Marine Products Business Segment (1/2) Op. income decreased by 29% due to inventory adjustments in some fish species and the impact of Net Sales customers' inventory adjustments in the pet food business. (JPY in Billions) 141.5 147.2 Net Sales

  8. Slide 8: Marine Products Business Segment (2/2)

    Business Overview for the 2Q of the FY Ending March 2024 Marine Products Business Segment (2/2) Op. income decreased by 29% due to inventory adjustments in some fish species and the impact of Net Sales customers' inventory adjustments in the pet food business. (JPY in Billions) 141.5 147.2 Net Sales

  9. Slide 9: Processed Foods Business Segment

    Business Overview for the 2Q of the FY Ending March 2024 Processed Foods Business Segment Overall op. income increased by 32% due to the penetration of price revisions in the Processed Foods Biz Unit. Net Sales (JPY in Billions) Net Sales Operating Income 25.6 26.1 Unit 26.8 28.2 27.0 24.6 YoY YoY S

  10. Slide 10: Foodstuff Distribution Business Segment

    Business Overview for the 2Q of the FY Ending March 2024 Foodstuff Distribution Business Segment In addition to price revisions, operational efficiency and productivity improvements were successful, resulting Net Sales in an overall profit increase of 158%. (JPY in Billions) 79.0 78.1 Net Sales Oper

  11. Slide 11: Logistics Segment

    Business Overview for the 2Q of the FY Ending March 2024 Logistics Segment Net Sales Steady capture of storage demand, operating income increased by 106%. 4.7 4.4 (JPY in Billions) 4.6 4.3 4.3 4.4 Net Sales Operating Income Unit YoY YoY １Q ２Q ３Q ４Q Sept/23 Sept/22 Sept/23 Sept/22 Change ％ Change ％ O

  12. Slide 12: Full Year Forecast and Future Measures

    Full Year Forecast and Future Measures Copyright ©2023 Maruha Nichiro Corporation

  13. Slide 13: Forecast of Consolidated Financial Results

    Full Year Forecast and Future Measures Forecast of Consolidated Financial Results ⚫ The challenging business environment for North American Alaska pollock business is expected to continue into the second half of the FY. ⚫ Processed food products are expected to contribute to profit growth in the sec

  14. Slide 14: Marine Products Business Segment (1/2)

    Full Year Forecast and Future Measures Marine Products Business Segment (1/2) Fishery Business and Overseas Business environments expected to remain challenging. (JPY in Billions) Net Sales Operating Income Segment Unit Full year Full year Sept/23 Sept/22 Change 2Q/Fyf Sept/23 Sept/22 Change 2Q/Fyf

  15. Slide 15: Marine Products Business Segment (2/2)

    Full Year Forecast and Future Measures Marine Products Business Segment (2/2) Fishery Business and Overseas Business environments expected to remain challenging. (JPY in Billions) Net Sales Operating Income Segment Unit Full year Full year Sept/23 Sept/22 Change 2Q/Fyf Sept/23 Sept/22 Change 2Q/Fyf

  16. Slide 16: Land-based Aquaculture of Atlantic Salmon (Progress)

    Aquaculture Business Initiatives Land-based Aquaculture of Atlantic Salmon (Progress) ・In October 2022, ATLAND Corporation was established in Nyuzen town, Toyama Prefecture, as a joint venture with Mitsubishi Corporation. The facility is scheduled to start operations in 2025 and shipments in 2027 (2

  17. Slide 17: Processed Foods Business Segment

    Full Year Forecast and Future Measures Processed Foods Business Segment Aiming to increase profits by responding to changes in demand and the environment. (JPY in Billions) Net Sales Operating Income Segment Unit Full year Full year Sept/23 Sept/22 Change 2Q/Fyf Sept/23 Sept/22 Change 2Q/Fyf Forecas

  18. Slide 18: Efforts to Enter the Frozen Foods Business in North America (Waffle Waffle LLC)

    Processed Foods Business Initiatives Efforts to Enter the Frozen Foods Business in North America （Waffle Waffle LLC) In August 2023, a new brand "Laughing Tiger," developed by our team members, was launched in the United States and made available in approximately 2,000 stores. The brand features hig

  19. Slide 19: Foodstuff Distribution Business Unit

    Full Year Forecast and Future Measures Foodstuff Distribution Business Unit Aim to increase profit by responding to changes in the environment in each sales channel. (JPY in Billions) Net Sales Operating Income Segment Unit Full year Full year Sept/23 Sept/22 Change 2Q/Fyf Sept/23 Sept/22 Change 2Q/

  20. Slide 20: Issues Surrounding the Domestic Food Market for Institutional-use

    Foodstuff Distribution Business Initiatives Issues Surrounding the Domestic Food Market for Institutional-use Labor Shortage Percentage of Regular Employees (Top 10 Industries) Labor Shortage Percentage of Non-Regular Employees (Top 10 Industries) (%) (%) Shortage of Jul-21 Jul-22 Jul-23 Jul-21 Jul-

  21. Slide 21: Structure of the Foodstuff Distribution Business Unit

    Foodstuff Distribution Business Initiatives Structure of the Foodstuff Distribution Business Unit Examples: 2. 3. 1. Process bluefin tuna, yellowtail, amberjack for sushi ingredients. 1. 4. Maximize the 2. Process fish procured overseas & domestically into fillets, fried fish, etc. Marine Aqua- Prod

  22. Slide 22: Logistics Segment

    Full Year Forecast and Future Measures Logistics Segment Aiming to increase sales by efficient use of limited storage space to meet strong demand and actively collecting cargo. (JPY in Billions) Net Sales Operating Income Segment Unit Full year Full year Sept/23 Sept/22 Change 2Q/Fyf Sept/23 Sept/22

  23. Slide 23: Efforts for Enhancing Corporate Value

    Efforts for Enhancing Corporate Value Copyright ©2023 Maruha Nichiro Corporation

  24. Slide 24: Practice Value Creation Management

    Efforts for Enhancing Corporate Value Practice Value Creation Management During the current Medium-term Management Plan period, we will continue to conduct business evaluations based on the progress of KGI and KPI centering on Maruha Nichiro Economic Value (MNEV) and ROIC for each business. We will

  25. Slide 25: Investment in Human Capital and Fostering Employees' Engagement in Management

    Efforts for Enhancing Corporate Value Investment in Human Capital and Fostering Employees’ Engagement in Management Introduction of Employee Stock Benefit Plan Increased Incentive Rates for To enhance the motivation and morale of employees Employee Stock Ownership towards stock prices and performanc

  26. Slide 26: Initiatives to Reduce Food Loss and Waste

    Efforts for Enhancing Corporate Value Initiatives to Reduce Food Loss and Waste For more information Our collaborative initiative with logistics companies and food banks to establish a sustainable donation scheme for frozen food was received the Director-General of the Consumer Affairs Agency Award

  27. Slide 27: Biodiversity and Ecosystem Conservation

    Efforts for Enhancing Corporate Value Biodiversity and Ecosystem Conservation For more information <Challenges> Conducted the 2nd Marine Resources Survey (survey year: FY2021). 1. Some fish species cannot be evaluated, such as feed ingredients for farmed fish. 2. Some fish species cannot be evaluate

  28. Slide 28: SeaBOS: A Global Transformation Towards Sustainable Seafood Production and a Healthy Ocean

    Efforts for Enhancing Corporate Value SeaBOS：A Global Transformation Towards Sustainable Seafood Production and a Healthy Ocean The Maruha Nichiro Group has joined together with the world's leading global seafood suppliers and scientists studying the ocean, fisheries and sustainability, in the Seafo

  29. Slide 29: Published our Integrated Report 2023 and Sustainability Report

    Efforts for Enhancing Corporate Value Published our Integrated Report 2023 and Sustainability Report（in Japanese) Our Integrated Report 2023 in English will be published at the end of November 2023. 29 Copyright ©2023 Maruha Nichiro Corporation

  30. Slide 30: Appendix

    Appendix Copyright ©2023 Maruha Nichiro Corporation

  31. Slide 31: Consolidated Statement of Income

    Appendix Consolidated Statement of Income for the 2Q of the FY Ending March 2024 (JPY in Billions) Sept/23 Sept/22 Change Remarks Net Sales 507.4 485.2 22.1 Cost of Sales 437.7 417.0 20.7 Gross Profit 69.6 68.2 1.4 Expense 52.9 52.3 0.5 Operating Income 16.8 15.9 0.8 Non-operating Revenues 6.0 6.5 -

  32. Slide 32: Consolidated Balance Sheet

    Appendix Consolidated Balance Sheet for the 2Q of the FY Ending March 2024 (JPY in Billions) Sept/23 Mar/23 Change Remarks (Year-end change) Increase in Assets Cash & deposit (-2.0), Trade notes & accounts receivable (+16.6), Current Assets 420.2 392.6 27.6 Inventories (+11.6) +35.5 Billion JPY Tang

  33. Slide 33: Consolidated Cash Flows

    Appendix Consolidated Cash Flows for the 2Q of the FY Ending March 2024 (JPY in Billions) Sept/23 Sept/22 Change Main contents Net income before taxes and adjustments 17.9 Depreciation and amortization 8.7 Decrease(Increase(-)) in trade accounts receivable -13.9 Cash Flows from Operating Activities

  34. Slide 34: Results (by segment/unit)

    Appendix Results for the 2Q of the FY Ending March 2024 (by segment/unit) (JPY in Billions) Net Sales Operating Income Segment Unit Full year Full year Sept/23 Sept/22 Change 2Q/Fyf Sept/23 Sept/22 Change 2Q/Fyf Forecast Forecast Fishery Business 18.3 16.8 1.5 45.8 40.0% -0.6 -0.4 -0.2 2.6 - Aquacul

  35. Slide 35: Overseas Net Sales

    Appendix Overseas Net Sales for the 2Q of the FY Ending March 2024 1Q of FY ended 1Q of FY ending March 2025 1Q of FY ended 1Q of FY ending March 2025 March 2023 March 2024 Target Overseas Overseas March 2023 March 2024 Target Net Sales Net Sales 103.5 113.9 215.0 Ratio 21.3％ 22.4％ 22.4％ billion JPY

  36. Slide 36: For Inquiries, please contact

    For Inquiries, please contact Investor Relations Group Corporate Planning Department Maruha Nichiro Corporation E-mail：ir-info@maruha-nichiro.co.jp 36 Copyright ©2023 Maruha Nichiro Corporation

  37. Slide 37: Thank you

    Thank you Copyright ©2023 Maruha Nichiro Corporation

  38. Slide 38: This material has been designed as part of Maruha Nichiro’ public relations and IR

    This material contains forward-looking statements, including projections, plans, policies, management strategies, targets, schedules, understandings and evaluations, about Maruha Nichiro and its group companies that are not historical facts. These forward-looking statements are based on current fore

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